The Hong Kong Securities and Futures Commission is pursuing Court of First Instance proceedings under section 214 of the Securities and Futures Ordinance to require Ng Yu, a former chairman, executive director and non-executive director of Target Insurance Holdings Limited, to buy out shares held by the investing public. The regulator alleges breaches of fiduciary duties by Ng ultimately led to the suspension and delisting of Target Holdings, depriving public shareholders of the ability to sell their shares on the market. It is also seeking disqualification orders against Ng and 10 other former directors. The case arises from the failure of Nerico Brothers Limited to repay more than USD 150 million that Target Insurance Company Limited, the group’s main operating subsidiary, placed with it between June 2020 and October 2021 for purported algorithmic foreign exchange trading. The SFC alleges Ng was party to a fraudulent scheme to misappropriate all or part of those funds, which were then transferred to a Cayman-incorporated fund managed by Amber Hill Capital Limited and controlled by Ng. The other respondents, most of whom were directors of Target Insurance at the time, are alleged to have been negligent in allowing the deposits despite significant concentration risk and in failing to put in place sufficient safeguards and oversight. The petition was filed on 10 October 2024 and the proceedings against Ng were adjourned while service was completed in the Chinese Mainland. At a case management conference on 17 June 2026, the court ordered that the proceedings against Ng be restored. Separately, the SFC had already issued restriction notices over certain client accounts owned by Ng to preserve assets for any future buyout order, and in earlier disciplinary actions revoked the SFC licences of Nerico Brothers and Amber Hill Capital and imposed lifetime industry bans on their senior management, including Ng.

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